In the beginning of the novel, Orwell makes it very clear that the ostensible setting of the story is England, particularly a farm near Willlingdon (where Orwell conceived of the novel). In a larger sense, however, the setting is not as easy to discern. As the novel is clearly a satirical attack on Stalinist Russia, one could argue that the true setting of Animal Farm is in a communist state. There is very little evidence to suggest Animal Farm makes a strong statement about England itself. Each of the farms with which the reader comes into contact throughout the novel are not really a part of the English landscape. They are merely a set of farms that happen to be located in England.
Animal Farm takes place at an unspecified time on a British farm near Willingdon, a town that is mentioned only in passing.